Oil Price Update: Brent Crude Futures Decrease as Israel’s Behavior Eases Concerns

It is indicated that December futures prices for “Brent” crude oil on the London “ICE Futures” exchange decreased by $1.21 (1.34%). During the past week, the price of “Brent” crude oil rose by 2.55 dollars (2.9%), reaching the mark of 90.48 dollars.

The price of WTI crude oil contracts also decreased. The New York Mercantile Exchange NYMEX experienced a drop of 1.3 dollars (1.52%), with the price falling to 84.24 dollars per barrel. In the previous trading session, the contract price increased by 2.33 dollars (2.8%), reaching 85.54 dollars per barrel.

According to Steven Innes, CEO of SPI Asset Management, oil prices continue to fall because of Israel’s cautious behavior in the current situation, which gives hope that the worst-case scenario of a conflict will not materialize.

“Israeli Prime Minister Benjamin Netanyahu announced over the holidays that a decision has been made to move to the second phase of the operation against Hamas, which will involve more military personnel fighting in the Gaza Strip. Previously, the Israel Defense Forces conducted several raids in this sector,” Innes said.

It is indicated that investors are most worried about the possible direct intervention of Iran in the conflict between Israel and Hamas, as new sanctions against Iran can reduce the supply of oil on the global market by one million barrels of oil per day.

2023-10-30 12:28:00
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